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Lottery Winnings The $ 5 9 . 4 million lottery payment that you just won actually pays $ 2 . 2 million per year for

Lottery Winnings
The $59.4 million lottery payment that you just won actually pays $2.2 million per year
for 27 years. If the discount rate is 12.70% and the first payment comes in 1 year.
a. What is the present value of the winnings? (Do not round intermediate calculations.
Enter your answer in millions rounded to 2 decimal places.)
Present value
$15.05
million
b. What is the present value of the winnings, if the first payment comes immediately? (Do
not round intermediate calculations. Enter your answer in millions rounded to 2
decimal places.)The $59.4 million lottery payment that you just won actually pays $2.2 million per year for 27 years. If the discount rate is 12.70% and the first payment comes in 1 year.
a.
What is the present value of the winnings? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)
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